If marginal utility of apples is diminishing and is a positive amount, consuming one more apple will cause
A) total utility to decrease.
B) a consumer to get no satisfaction from consuming apples.
C) a consumer's total utility to increase.
D) a consumer to go beyond her optimal consumption of apples.
Answer: C
You might also like to view...
The working-age population includes
A) people over the age of 16 who are in the Army. B) employed and unemployed people over the age of 16. C) those in jails and hospitals. D) youngsters between the ages of 14 and 16 if they are working at least part time. E) only employed people over the age of 16.
In economic terminology, what is the meaning of investment?
What will be an ideal response?
In a free market, economic activity is coordinated by
A. central planners. B. prices. C. costs. D. majority rule.
Special savings accounts that individuals would pay into and then use to pay for medical expenses (or use to purchase a catastrophic health insurance policy) are called
a. Medicare accounts. b. comprehensive insurance plans. c. medical savings accounts. d. Health Maintenance Organizations (HMOs).